Through A Series Of Trade Missions, Indonesia Is Establishing Trade Relations In Eastern Europe

The Indonesia Ministry of Trade Breaks Through the Eastern European Market

Indonesia does it again, this time breaking through the prospective market of Eastern Europe.

Through a series of trade missions, the Ministry of Trade will inaugurate the Indonesia Business Showroom/IBS at the port city of Varna, Bulgaria, this upcoming 5 May 2015.

“If all goes according to plans, the IBS will become model of best practice to be exemplified by countries without an Indonesia Trade and Promotion Center (ITPC) and also for the development other export products,” explained the Ministry of Trade’s Director of Market Development and Export Information of DGNEG, Ari Satria.

The early stages will showcase furniture products and home decorations from 13 participants. The IBS will be a showroom for Indonesian products so that in the long run, it would increase demand and repeat purchases.

Besides opening the IBS in Bulgaria, the series of trade missions will continue with a one-on-one business meeting to match Indonesian entrepreneurs with potential buyers in Sofia, Bulgaria, on 4 May 2015 and in Budapest, Hungary, on 7 May 2015.

These 22 exporters will bring furniture, building material, home decorations, handicrafts, coffee, processed foods, coal briquettes, and construction services. “These companies have their own diversity, potential, and uniqueness that we expect to open exports for new sectors as well as grasp the potential of export product diversification to Eastern Europe,” said Ari. Based on the Ministry of Trade’s records of analysis, the total value of Indonesian non-oil and gas exports to Bulgaria was USD 77.45 in 2014. This value of exports is an increase of 74.5% compared that of 2013.

Indonesia experienced a USD 31.73 million surplus in 2014. Meanwhile, the export value of non-oil and gas exports to Hungary was USD 86.87 million in 2014 while Indonesia’s trade balance with Hungary was a USD 24.44 million surplus in 2014. These data show an increase in Indonesian exports to Bulgaria and Hungary in 2014, after experiencing a trade deficit with those two countries in 2013.

The potential of increasing trade between Indonesia and Bulgaria and Hungary is still huge considering the number of excellent Indonesian export products that have yet been known.

Bulgaria and Hungary can be a gateway for Indonesian products into the Balkans and Eastern Europe considering the good location and logistics system. “One of the ways to expand and diversify Indonesia’s export market can be achieved through Bulgaria and Hungary. These two countries are entry markets into the Balkans and Eastern Europe as well as other countries in the region,” explained Ari with optimism.